Top 10 Trading Strategies Every Investor Should Know

18/08/2025
Author: Shaharia
Trading isn’t guesswork—it’s a craft, guided by strategy, patience, and emotion. These ten time-tested strategies lay the foundation for successful investing, offering both structure and personal connection to the markets.
1. Trend Following
Ride the momentum of markets. When prices move in a clear direction, this strategy helps you flow with the trend rather than against it.
2. Mean Reversion
Markets swing back to normal. This approach anticipates and trades that return toward average price levels—like a boomerang's safe flight.
3. Breakout Trading
When an asset breaks key levels, momentum often follows. Breakouts can signal new trends—waiting patiently for confirmation is key.
4. Scalping
Fast, focused, and small wins add up. Scalpers thrive on quick movements and razor-sharp focus—trading as if on tiptoes.
5. Momentum Trading
Capture the energy of strong moves. When others rush in, momentum traders ride the wave—but manage fear when it fades.
6. News Trading
Breaking headlines move markets fast. Move calmly amid chaos—read the emotional undertones behind every announcement.
7. Range Trading
Some markets oscillate between highs and lows. Here, boundaries become your guide—sell the peaks, buy the dips.
8. Position Trading
Sit with conviction. Hold trades over weeks or months, giving trends room to grow—like planting seeds and watching them flourish.
9. Algorithmic Trading
Let code take the stress. Rules-based, emotion-free, and automated—this strategy speaks to the analytical mind’s love of precision.
10. Pairs Trading
Hedge smartly. Trade two linked assets—when one overperforms, the other might rally back. Enter with logic, not emotion, and let convergence work its magic.
Each strategy connects logic with human rhythm—momentum with mindfulness, patience with possibility. Choosing the right one starts with understanding both the market and yourself.